Chemrez plans to delist from PSE

MANILA, Philippines – Chemrez Technologies Inc has announced plans to delist from the Philippine Stock Exchange (PSE) should its public ownership fall below the minimum 10% requirement under the rules of the PSE.

This comes following the tender offer by D&L Industries, which earlier announced its plan to acquire all 850.39 million shares of Chemrez it did not own.

The tender offer is estimated to cost P5.1 billion (P114.55 million*).

In a statement, Chemrez said it is likely to initiate voluntary delisting if the tender offer would result in its public float falling below the 10% requirement.

The principal stockholders, executive officers, and affiliates of Chemrez Technologies said they have already tendered all of their currently owned shares in the offer.

“This offer provides the final attractive opportunity for the remaining minority shareholders to fully realize their profits. Should the company elect to delist and have its shares no longer traded on the PSE, the ability to quickly liquidate the shares may be diminished in the absence of a healthy marketplace. Delisting would certainly reduce the shares’ marketability,” Chemrez Technologies treasurer and chief finance officer Alvin Lao.

Chemrez Technologies, Inc. is one of the leading producers of biodiesel, resins and oleochemicals in the Philippines.

D&L Industries is engaged in product customization and specialization for the food, plastics, and aerosol industries. The company’s principal business activities include manufacturing of customized food ingredients, specialty raw materials for plastics, and oleochemicals for personal and home care use. – Rappler.com

*$1 = P44.5